WRONG. It is 18% of GDP. Income is taxed only once - either at the corporate level or personal level. The double taxation we have now is gone. So for a given dollar, it's either taxed at the corporate level (9%) or the personal level (9%). Not both as you claim.
And then, IF that dollar is spent, there's another 9% on it. So you get 9% for the income (corporate or personal) and 9% for spending. Total is 18%, not the 27% you're trying to claim.
Historically, over the longer terms (5+ years) since WWII, the Federal Government has averaged 18% of GDP in terms of revenue (Hauser's Law). Cain's 9-9-9 plan does JUST THIS. Matches historical revenues. It does it with two significant changes, however:
1. Rewards efficiency in business and investment by eliminating the massive number of deductions, exemptions, setasides, and double-taxation.
2. It makes EVERYONE pay in, rather than making 50% carry the full load.
It's actually a revenue neutral plan, but one that is skewed to rewarding efficiency and should grow the GDP faster than the 80,000+ page monstrosity of a tax code we have now.
[
1. Rewards efficiency in business and investment by eliminating the massive number of deductions, exemptions, setasides, and double-taxation.
2. It makes EVERYONE pay in, rather than making 50% carry the full load.
]
Exactly both reasons why I like it, Plus it says exactly what Obama said once “That the millionaire should pay the same amount of taxes as the plumber” or soemthign to that effect, ol’ dumb barry didn;t realize at the time he said it that he agruing for a FLAT type of tax. If Cain gets the Nomination, he should use this Obama Quote to hang Obama on his own petard.
Nein/Nein/Nein.....